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Short courses>Foreign exchange options

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Foreign exchange options - 2.5 hours

A foundation course that explains foreign exchange options.

The course provides an explanation of option terminology, the payoff profiles of trades, how these options can be used to hedge and trade and a case study in what can go wrong.

It is suitable for those working in or around financial markets who need to know more.

There are simple examples with time for questions and answers.

This course is only available in-house and is suitable for up to 12 people.

This is what is covered:

  • Option terminology
  • Underlying, expiry, premium, exercise and strike
  • The four basic option trades
  • Payoff profiles
  • In the money, at the money and out of the money
  • What is agreed in a trade
  • Examples of payoffs on long/short calls/puts
  • Hedging with foreign exchange options – advantages/disadvantages
  • What influences the premium cost
  • Combining options – using one option to pay for another
  • Exotic foreign exchange options
  • Why options make people nervous - a case study of Rogue Trading

Enquire or book this course

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